UK-POLOS.NET - THE VW Polo Forum

SRGTD wrote: Sat May 02, 2020 4:47 pm A Carwow affiliated dealer was quoting me a discount back in February that was more than the Drive the Deal discount. Admittedly, it wasn’t that much more - from memory around a couple of hundred pounds - but it was better than the DtD figure at the time, and the Carwow dealer was pretty close to where I live.

Distance of dealer wasn't a concern for me. Both Polos delivered to us on the back of a trailer at no additional cost. Every time I've been actively getting a quote for a new car, Carrwow's never been that close. For other marques DTD may not be cheapest e.g. try Coast oast cars for BMWs.

There is still money out there, though not necessarily best spent with VW. There are more groups than key workers or furloughed staff.

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johnpolo2 wrote: Sat May 02, 2020 9:45 pm There is still money out there, though not necessarily best spent with VW. There are more groups than key workers or furloughed staff.

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Yes, one segment of the population that is likely to be largely unaffected financially by the current situation will be those individuals who have been fortunate enough to retire on an inflation-proof, defined benefit pension and whose regular outgoings are relatively low (little or no mortgage, no dependent children to support). I dare say many such individuals could be cash buyers when it comes to buying a car if they chose to be.

Strange to announce a price increase though....

stevereeves wrote: Sun May 03, 2020 3:22 am Strange to announce a price increase though....

Yes, a price increase of the magnitude that VW have applied to the Polo, with nothing extra offered to the customer in return, such as an equipment upgrade does seem strange.

VW will no doubt have a team of finance ‘experts’ who’ll have assessed the expected impacts of the price increase on sales volumes, revenue and profit, using computer modelling techniques to ensure the price increase gives an acceptable outcome. The problem is, these computer models rely on the input of certain assumptions, and if these don’t reflect reality, then the results of any such modelling will be flawed; as the saying goes ‘rubbish in, rubbish out’.

So if they’ve got it wrong, or used unrealistic assumptions in their modelling, the actual results will be somewhat different to reality. Or maybe VW assume that customers will be willing to pay a few extra £’s per month under a PCP without it having much, if any, impact on sales. We’ll never know..........

johnpolo2 wrote: Sat May 02, 2020 9:45 pm There is still money out there, though not necessarily best spent with VW. There are more groups than key workers or furloughed staff.

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I specifically said there are 2 types of working people and didn't mention other groups of people because they are unaffected by the COVID-19 situation financially and so their decision to splash out on a new car is i dependent of the pandemic.

For those retired, they know how much is coming in every month and know how much in savings they
have.

For those seriously rich, a Polo GTI will almost certainly not be on their hit list, but if VW are ramping up their prices, so will other marques.

Career dole/benefit wallas like my sister haven't seen their money change either. She rakes in £42k a year in tax free benefits (ensuring she gets all her kids categorised as having ADHD and gets £160 a week disability allowance for each of them) and lives in a £450k new build council house as a single mother.

SRGTD wrote: Sun May 03, 2020 8:54 am

stevereeves wrote: Sun May 03, 2020 3:22 am Strange to announce a price increase though....

Yes, a price increase of the magnitude that VW have applied to the Polo, with nothing extra offered to the customer in return, such as an equipment upgrade does seem strange.

VW will no doubt have a team of finance ‘experts’ who’ll have assessed the expected impacts of the price increase on sales volumes, revenue and profit, using computer modelling techniques to ensure the price increase gives an acceptable outcome. The problem is, these computer models rely on the input of certain assumptions, and if these don’t reflect reality, then the results of any such modelling will be flawed; as the saying goes ‘rubbish in, rubbish out’.

So if they’ve got it wrong, or used unrealistic assumptions in their modelling, the actual results will be somewhat different to reality. Or maybe VW assume that customers will be willing to pay a few extra £’s per month under a PCP without it having much, if any, impact on sales. We’ll never know..........

Another way of jacking up prices without the initial PCP buyers being hit too much is to increase the GFV , if the market will bear the increased used prices.

There's room to do this IMO even without used prices increasing. When I used to PCP rather than buy outright, I always had a decent amount of "equity" in p/x value, that equity could drop a little.

I was reading that pent up car buying demand and lack of capacity to build new cars and associated long waiting times will mean that buyers will turn to the used market initially which will drive up used car prices. That may mean increased GFV on PCP cars. If VW are increasing prices you can guarantee so will everyone else in turn. Whatever happens the only way is up for prices as the impact of Covid kicks in for the whole economy. We are all paying extra for years to come.

monkeyhanger wrote: Sat May 02, 2020 11:10 am Just had a good look through the brochure and pricelist GTI/GTI+ seems to get nothing new, nor do any of the lesser trims get anything new that translates right up through the rest of the range as standard equipment.

What a rip off.

From the Magazine Reviews Base GTI + in January 2019 was £22,160
That’s Quite jump to £ 24,875. !!

Since my I own my car, I have seen 3x price increases.
Very poor trade in offers for a 1year old car.

green justin wrote: Sun May 03, 2020 9:21 pm

monkeyhanger wrote: Sat May 02, 2020 11:10 am Just had a good look through the brochure and pricelist GTI/GTI+ seems to get nothing new, nor do any of the lesser trims get anything new that translates right up through the rest of the range as standard equipment.

What a rip off.

From the Magazine Reviews Base GTI + in January 2019 was £22,160
That’s Quite jump to £ 24,875. !!

Since my I own my car, I have seen 3x price increases.
Very poor trade in offers for a 1year old car.

I can't remember the exact figure of list price, but I do remember that both of my Polo GTI+ were bought with around £2800 discount from list. The 2018 Red one was ordered mid May 2018 as an in progress order and came with Brescias (£350), Nav (£650).and rear camera (£250?) and cost about £20900, so must've been about £22500 basic RRP. I think you're a little out on your Jan 19 RRP.

Our 2019 variant was ordered in Nov 18 (I placed the order in Oct 18 but the factory didn't accept it until Nov 18. It was a GTI+ with white paint (£360?) and Brescias (£350). Again, it came with a £2800 discount and I'm sure it cost me £20800, so RRP must've been about £23000. I'm sure it was £23030 RRP from recollection, RRP for MY19 went up by about £220 to cover the rear USB ports and inclusion of GPF, after going up just after I ordered my first.

Not long after we collected our second one, the deposit contribution finally became available on the GTI/GTI+ at £1250. So realistically net cost has gone up from about £22500 with no contribution to £24875 with £1250 contribution -effectively £23625, and has effectively rusen £1125 in 2 years, or 5%.

So shortly after May 19 when the deposit contribution came in, we effectively had a price drop before VW hit us big time with this new price rise. Breaking down the historical price changes this latest big rise seems mainly an underhanded grab back of the deposit contribution.

Both mine were bought outright, but I'd have taken finance to get the deposit if it had been available then settled immediately.

1 year old is a crappy time to chop in a car to a main dealer. The car needs to be noticeably cheaper than a new one (let's say 20% cheaper than RRP) and the dealer wants their 20% minimum margin of the sticker price - 80% of 80% of RRP). Expect to be offered £16k in p/x at 1 year old, but £14k at 2 years old and £12k at 3 years old. The first drop is the biggest drop. Wait until years 2 and 3 and your depreciation per year of ownership drops dramatically.

If all goes well I plan to keep the GTI for many years.
Quite Happy for now,
Just need to save for Michelin PS4 tyres.

green justin wrote: Sun May 03, 2020 10:44 pm If all goes well I plan to keep the GTI for many years.
Quite Happy for now,
Just need to save for Michelin PS4 tyres.

Will probably be doing the same thing, considering the MK8 Golf GTI looks awful.

Either going to keep the Polo and do some modifications or go for a MK7.5 GTI TCR (if I can get one with low mileage).

Hi,

Advice for those in the defined benefit pension camp or disposable income; don’t pay cash for the car. The best plan, and I do it every time I buy a new car, is take out the finance agreement so you get the deposit contribution, and that can be in the thousands, then call the finance company within 14 days of signing the agreement and ask to ‘withdraw’ from the agreement. This is not the same as settling the agreement, so make sure you say withdraw. You pay a few pounds per day interest and doing this has no impact on your finance record. This way you get the deposit contribution, bigger discounts on the deal than paying cash, and keep any offers such as free or reduced servicing as well.

Let’s hope dealers are keen for business when they open fully and don’t use the pandemic as an excuse to raise prices and devalue the part exchange, but that could be wishful thinking!

OomStu_ZA wrote: Sat May 02, 2020 8:17 am The price increase took effect here in SA during lockdown as well with the previous list price of R398000.00 (16900 Pound) now upped to R401000.00 (17409 Pound) pre options ticked in the online configurator.

We only have one Polo GTI model in SA and with all options ticked except NAV its approx. R80000.00 (3400 Pound) extra totalling R481000.00 (20450 Pound) based on the new list price.

Have you noticed how the optional extras like Sunroof and Brescia wheels have also increased in price.

When i purchased my car in January 2019.

Brescia Wheels was R5000 ZAR to R6000 ZAR
Sun Roof was R9800 ZAR to R11900 ZAR.

I'm looking to keep mine a long time unless VW tempts me with a 250ps+ special edition.

I can't see the Polo GTI+ having any great leaps in "must have" tech in the foreseeable to make people want to change to a newer model in droves. It already has (among other things) LED headlights, decent connectivity and the digital dash virtual cockpit that made my 2015 Golf R's driver info set-up look prehistoric